Updated Income Tax Rate in Pakistan (1 July 2024 - 30 June 2025) (Withholding Tax Rate)
As of July 1, 2024, the Government of Pakistan has implemented new income tax regulations that will be in effect until June 30, 2025. These updates are crucial for both individuals and businesses to ensure compliance and optimize their tax strategies. Below, we outline the key changes and provide a comprehensive PDF for detailed information. Click to Use Salary Tax Calculator
Income Tax, Witholding Tax Rate Card:
To access the full details of the updated income tax regulations, including comprehensive rate cards and specific notes for different income groups, download the PDF.
Download the Complete Tax Update PDF:
| Salaried Individual | Tax Rate |
|---|---|
| Up to Rs. 600,000 | 0% |
| Rs. 600,001 to Rs. 1,200,000 | 5% of exceeding Rs. 600,000 |
| Rs. 1,200,001 to Rs. 2,200,000 | Rs. 30,000 plus 15% of exceeding Rs. 1,200,000 |
| Rs. 2,200,001 to Rs. 3,200,000 | Rs. 180,000 plus 25% of exceeding Rs. 2,200,000 |
| Rs. 3,200,001 to Rs. 4,100,000 | Rs. 430,000 plus 30% of exceeding Rs. 3,200,000 |
| Above Rs. 4,100,000 | Rs. 700,000 plus 35% of exceeding Rs. 4,100,000 |
| Director fee for Board Meeting | 20% of gross amount |
| AOP & Individual Other Than Salaried Individual | Tax Rate |
|---|---|
| Up to Rs. 600,000 | 0% |
| Rs. 600,001 to Rs. 1,200,000 | 15% of exceeding Rs. 600,000 |
| Rs. 1,200,001 to Rs. 1,600,000 | Rs. 90,000 plus 20% of exceeding Rs. 1,200,000 |
| Rs. 1,600,001 to Rs. 3,200,000 | Rs. 170,000 plus 30% of exceeding Rs. 1,600,000 |
| Rs. 3,200,001 to Rs. 5,600,000 | Rs. 650,000 plus 40% of exceeding Rs. 3,200,000 |
| Above Rs. 5,600,000 | Rs. 1,610,000 plus 45% of exceeding Rs. 5,600,000 |
Importance for Software Developers and System Integrators:
With the new tax regulations in place, it is essential for software developers and system integrators to update their business and financial software solutions to reflect these changes. Ensuring that ERP, CRM, POS, and HR software systems are in compliance with the latest tax rates and regulations is crucial for providing accurate and reliable services to clients. Developers should incorporate the updated tax rates and rules into their systems to help businesses streamline their financial operations and maintain compliance with government requirements.
Conclusion:
Staying updated with the latest tax regulations is essential for effective financial planning and compliance. Make sure to review the detailed PDF and consult with a tax professional to understand how these changes may affect you or your business.
